WALL STREET INTERNS, A WEEK IN THE LIFE Â |Â Grueling hours. Five-figure pay. And, just maybe, the hope of a job offer in the fall. Such is life for summer interns on Wall Street, many of whom began work this week. While their classmates volunteer in Africa or collect extra course credits, a number of college students are trying to get a toehold in the world of finance, where the job market remains bleak.
Even in their first week, interns, known as summer analysts, are already discovering the delights and frustrations of their chosen line of work. Some are showing signs of becoming disillusioned. Others have found solace in swag. And a few have passed the time by taking “selfies.â€
GETTING CREATIVE IN TAKEOVER DEFENSE  | “Elan’s fervent efforts to fight off Royalty Pharma’s $6.4 billion hostile bid are driven by the simple fact that it is relatively defenseless. Blame Ireland,†Steven M. Davidoff writes in the Deal Professor column. “Elan, a developer of drugs and drug-delivery systems, is an Irish company and its stock is listed in Ireland. This means that while it has American depositary receipts listed in the United States, its primary regulator is the Irish Takeover Panel, which administers the Irish takeover code.â€
Unlike in the United States, where companies can adopt takeover defenses like a poison pill, such defenses are generally prohibited in Ireland. “Instead, companies are exposed to a hostile takeover and are forced to fight these bids by lobbying shareholders directly. Faced with this difficulty, Elan has had to get creative in order to challenge Royalty Pharma’s bid.â€
WHITHER BAILED-OUT BRITISH BANKS?  | “The archbishop of Canterbury, a former chancellor of the Exchequer and the outgoing governor of the Bank of England are unusual comrades in arms. Yet, the three stalwarts of the British establishment â€" Justin Welby, Nigel Lawson and Mervyn King â€" are all calling for the breakup of the part-nationalized Royal Bank of Scotland,†DealBook’s Mark Scott and Julia Werdigier report.
“They are part of a growing debate in Britain about what to do with the bank and its rival, the Lloyds Banking Group, which received more than $103 billion combined in rescue bailouts during the financial crisis.â€
ON THE AGENDA Â |Â The unemployment report for May is out at 8:30 a.m. Alan Greenspan is on CNBC at 7:30 a.m. Stephen A. Schwarzman, head of the Blackstone Group, is on Bloomberg TV at 11:30 a.m.
RAY LANE’S TAX ISSUE  | Raymond Lane, the former chairman of Hewlett-Packard, has come under criticism for the disastrous acquisition of the software maker Autonomy. Now, Mr. Lane, a partner emeritus at Kleiner Perkins Caufield & Byers, has another headache: the Internal Revenue Service. According to a report in Bloomberg News, Mr. Lane faces a $100 million tax bill, after the I.R.S. found in December that he participated in a “sham†tax shelter that generated improperly claimed losses to offset income. “As a director, you are being elected for your judgment, and investors have to evaluate how you apply that judgment,†Charles Elson, director of the John L. Weinberg Center for Corporate Governance at the University of Delaware, told the news service. “If you’re a public company director, your entire financial lif is fair game.â€
Mr. Lane told Reuters that he had settled the matter, which he said stemmed from a fund that his tax advisers “put him into.â€
London Metal Exchange C.E.O. to Depart After Sale  | Martin Abbott, chief executive of the London Metal Exchange, plans to leave at the end of the year after the sale to Hong Kong Exchanges & Clearing, Bloomberg News reports.
BLOOMBERG NEWS
More Dissent Is Expected at Wal-Mart  | Many Wal-Mart investors are asking why more change has not occurred in the wake of the bribery scandal in Mexico. “And those investors view Friday’s annual shareholders’ meeting as another chance to overhaul the giant retailer,†The New York Times reports.
NEW YORK TIMES
PepsiCo Challenges Report on SodaStream Talks  | PepsiCo denied a report that said it was in talks to buy SodaStream International of Israel, Reuters reports.
REUTERS
SAP Paying Top Dollar in a Buying Spree  | Europe’s largest software maker, SAP, has been on an acquisition binge over the last 18 months. So far, the deals have made strategic sense, but SAP has been willing to pay a premium, especially for its latest purchase, Hybris, Olaf Storbeck of Reuters Breakingviews writes.
REUTERS BREAKINGVIEWS
Motorola Mobility Says It Reached Settlement With TiVo  | Motorola Mobility said Thursday that it settled with TiVo ahead of a patent trial that was to start next week. TiVo declined to comment.
ASSOCIATED PRESS
Why Wall Street Wants a Middling Jobs Report  | “How could a lot of new jobs be a bad thing? As is frequently the case in the markets these days, the answer goes back to the Federal Reserve,†Nathaniel Popper writes on the Economix blog. “Many investors assume that if Friday’s employment report shows an unexpected spike in new jobs, the Federal Reserve will feel more pressure to step back from its stimulus programs - or, as traders put it, to taper quantitative easing.â€
NEW YORK TIMES ECONOMIX
From Blankfein, a Horatio Alger Story for New Graduates  | In a commencement address at LaGuardia Community College, Lloyd C. Blankfein of Goldman Sachs drew on his own journey - from a housing project in Brooklyn to one of Wall Street’s mightiest firms.
DealBook »
Ominous Sign for Muni Bondholders  | The bankruptcy of Jefferson County “may serve as a precedent for forcing bondholders to take losses in bankruptcy,†Floyd Norris, a columnist for The New York Times, writes.
NEW YORK TIMES
G.M. Celebrates Milestone, But Acknowledges Work to Be Done  | The chief executive of General Motors, Daniel Akerson, celebrated the company’s return to the Standard & Poor’s 500-stock index but conceded that the automaker had yet to deliver fully on its promise to build world-class vehicles, The New York Times reports.
NEW YORK TIMES
Japan Pension Fund to Buy More Stocks  |Â
FINANCIAL TIMES
Blackstone in Brazilian Property Deal  | The Blackstone Group and a partner are set to buy a controlling stake in a subsidiary of Gafisa, a Brazilian home builder, for $1 billion, The Financial Times reports, citing unidentified people familiar with the matter.
FINANCIAL TIMES
Soros Sees Promise in Japanese Stocks  | After selling much of its position in Japanese stocks in May, Soros Fund Management “returned to the market this week after seeing some signs of stability in the Japanese bond market,†The Wall Street Journal reports.
WALL STREET JOURNAL
TCW Group Bets on Argentine Bonds  |Â
BLOOMBERG NEWS
Macau Legend, Casino Operator, Initiates I.P.O. Â |Â Macau Legend Development is aiming to raise up to $786 million in an initial public offering in Hong Kong, Reuters reports, citing a term sheet.
REUTERS
Facebook to Simplify Options for Advertisers  | “Instead of presenting a range of ad choices, Facebook will instead ask what the goal of the ad is â€" building a brand image, for instance, or persuading customers to come into a store,†The New York Times writes. “Then it will suggest ad formats that it believes will be effective.â€
NEW YORK TIMES
Europe Still Wrestles With Online Privacy Rules  | “Because of intense lobbying by Silicon Valley companies and other powerful groups in Brussels, several proposals have been softened, no agreement is in sight and governments are openly sparring with one another over how far to go in protecting privacy,†The New York Times writes.
NEW YORK TIMES
The Tumblr Deal and Entrepreneurs  | Every upstart technology chief executive is going to try to win the next lottery the way Tumblr did. And about 99 percent will fail, Cliff Oxford writes on the You’re the Boss blog.
NEW YORK TIMES
The Rise of ‘Silicon Bayou’  | A group of entrepreneurs is trying to make New Orleans into a major tech city, The Verge reports.
THE VERGE
Online Sports Retailer Said to Achieve $3.1 Billion Valuation  |Â
WALL STREET JOURNAL
UBS Under Widening Investigation for Tax Evasion in France  | UBS, the target of a widening tax-evasion case in France, was placed under formal investigation on suspicion that it illegally helped French citizens to set up secret accounts abroad.
DealBook »
Criminal Charges Expected in Rate-Rigging Case  | United States and British authorities “are preparing to bring criminal charges against former employees of Barclays†connected to the scandal over rigging Libor, The Wall Street Journal reports, citing unidentified people familiar with the plans.
WALL STREET JOURNAL
Art Imitates I.R.S., or Vice Versa  | Another Internal Revenue Service training video has surfaced, this one a thinly veiled parody of the hit television show “Mad Men.â€
DealBook »
S.E.C. Freezes Assets of Thai Trader in Smithfield Inquiry  | The Securities and Exchange Commission froze the assets of a trader based in Bangkok on Thursday, as it investigates a purported insider trading scheme tied to Smithfield Foods’ $4.7 billion sale to a Chinese meat processor.
DealBook »
What Passes for Good Economic News in Europe  | “Economic figures that would be considered disastrous elsewhere are being held up by many politicians and policy makers as really not so bad at all â€" the first tender shoots of a recovery that is out there somewhere,†The New York Times’s Jack Ewing writes. “Or perhaps not.â€
NEW YORK TIMES
Lawsuits Against S.&P. Are Sent to One Federal Court  |Â
REUTERS
Despite Tax Rules, Companies Stick With U.S. Â |Â Two new papers help explain why nearly all new companies with headquarters in the United states choose to incorporate and pay tax here, Victor Fleischer writes in the Standard Deduction column.
DealBook »
Former Interior Secretary Salazar Joins WilmerHale  | Ken Salazar, who recently stepped down as Interior Secretary, is joining WilmerHale as a partner, the law firm announced on Thursday.
DealBook »
Former Senator Lieberman Joins Kasowitz Benson  | Joseph I. Lieberman, a onetime vice presidential candidate, will serve as senior counsel at the law firm and will be based in New York.
DealBook »
